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and importer. The importer has to be very careful because there is a danger that the exporter may run off after receiving the T/T. In the event of a sour relationship, the importer may run the risk of being blackmailed by the exporter through threat of exposing the private arrangement. With the growing free trade around the world, the undervalue practice is diminishing. Case Sample: Hostage in Payment An unusual situation the exporter may encounter is that the importer may request payment by a bination of letter of credit (L/C) and telegraphic transfer (T/T) on the pretext of undervalue. The importer may request to declare 80% (or on other percentage) of the contract price for a product having a duty rate of less than 10%, and may promise that the T/T portion of each preceding order will be remitted in the succeeding order. To an inexperienced exporter the request sounds all right, but it is not. The request is actually a scheme of 39。進出口業(yè)務結(jié)算方式 (英文版 ) Methods and Tools of Payment in Exporting and Importing The process of exporting is inplete without receipt of payment. Export ine is considered earned only when payment has been received. Letter of Credit (L/C) The most popular and a safer method of payment is by a confirmed irrevocable letter of credit at sight. Please see Documentary Credits (Letters of Credit) for detail explanations. Documentary Collections Please click here for the detail information about documentary collections. Documents Against Payment (D/P) Documents Against Acceptance (D/A) Cheque and Bank Draft In expor